Economic Stimulus

[Classact]

I hope there isn't a thread on this topic all ready.

To stir and start the debate on the issue I ask first is economic stimulus necessary to boost the economy away from recession?

What do you find as the main problem for the downturn in the economy?

Would giving people a check to spend help and if so how could that help?

Would a tax cut help and if so for whom or on what?

I think all of the problems in the economy is based on the cost of energy and the only way to fix the problem is to fix our energy problem. Don't send a check, remove all federal tax from gas pumps for three to six months and end ethanol subsidies.

I say end ethanol subsidies because outside of gas the largest inflation is in the food area directly related to the diversion of corn to make fuel.

Open federal lands to natural gas exploration to reduce the price of natural gas. If natural gas price was cut in half electricity and heating costs would follow. Likewise it would be more profitable for businesses if natural gas was equal to the price in Mexico or Canada. Plentiful natural gas would be a deflating factor equal to a pay raise for every American in my opinion.

[red states rule]

What we need is more tax cuts from the government. The Bush tax cuts have done wonders for the US economy. Revenues are at record highs, and we have a 95% employment rate

The Fed will probably cut interest rates in a couple of weeks, which will also help

The Dems on the other hands want more government hand outs, and tax increases on the producers. Which will hurt the economy and do little to spur economic growth

[Classact]

What we need is more tax cuts from the government. The Bush tax cuts have done wonders for the US economy. Revenues are at record highs, and we have a 95% employment rate

The Fed will probably cut interest rates in a couple of weeks, which will also help

The Dems on the other hands want more government hand outs, and tax increases on the producers. Which will hurt the economy and do little to spur economic growth

You are right on!

I think another thing that could help the economy would be for President Bush to open the strategic oil supply to the oil industry at prices the oil was purchased, Bush was filling the thing when oil was $55 a barrel and if he did this it would cause the oil futures to fall like a rock as surplus oil hit the market. Then as the cheaper oil hit the market let Bush administration refill the SPR.

Same block on the Rep guess I'll have to contact admin.

[red states rule]

You are right on!

I think another thing that could help the economy would be for President Bush to open the strategic oil supply to the oil industry at prices the oil was purchased, Bush was filling the thing when oil was $55 a barrel and if he did this it would cause the oil futures to fall like a rock as surplus oil hit the market. Then as the cheaper oil hit the market let Bush administration refill the SPR.

Same block on the Rep guess I'll have to contact admin.

I do not agree with releasing the oil Classact. If the government wants to help with gas prices - repeal the taxes on gas

When you add up the taxes by local, state, and the federal government - you get about 45 to 60 cents per gallon

What we need to do is to build and expand refineries, drillo for all the oil we have within our borders

Expand nuclear power, use more coal, and tel the envio wackos to shut the hell up

[Hagbard Celine]

I think it's all about energy and the housing market. We're on the cusp of going into a recession now mainly because lenders went batsh*t crazy giving out subprime mortgages and now that interest hikes are hitting borrowers they're unable to pay, which is breaking the backs of lenders and it's sending a ripple effect through the economy that's affecting the stock markets, consumer spending, etc. When you add the fact that we're at war and the Arabs have got our nuts in a vice with their disgraceful oil prices the middle class especially is feeling the hurt. I think we need to declare a "war on energy dependence" --start drilling Alaska and the Gulf. Open up the gov't strategic oil supply and flood the market with cheap oil. I don't think another tax cut for the wealthy is the answer.

[red states rule]

I think it's all about energy and the housing market. We're on the cusp of going into a recession now mainly because lenders went batsh*t crazy giving out subprime mortgages and now that interest hikes are hitting borrowers they're unable to pay, which is breaking the backs of lenders and it's sending a ripple effect through the economy that's affecting the stock markets, consumer spending, etc. When you add the fact that we're at war and the Arabs have got our nuts in a vice with their disgraceful oil prices the middle class especially is feeling the hurt. I think we need to declare a "war on energy dependence" --start drilling Alaska and the Gulf. Open up the gov't strategic oil supply and flood the market with cheap oil. I don't think another tax cut for the wealthy is the answer.

The Bush tax cuts went to people who pay taxes. When you have 50% of the wage earners paying 97% of the taxes - guess who get the tax cut?

The people who pay the taxes

Only 5% of homeowners are late with their mortage payments,a nd the government has no business trying to regulate the issue

Cut the taxs on gas and you will lower the price. Flooding the market will not do much for the long term

[Pale Rider]

To stir and start the debate on the issue I ask first is economic stimulus necessary to boost the economy away from recession?

What do you find as the main problem for the downturn in the economy?

A combination of government spending, entitlements, the cost of energy/fuel, and the cost of living going up far faster than people's incomes.

Would giving people a check to spend help and if so how could that help?

No. In essence, you'd be giving people their own money to spend because that money would have came from taxes they paid. That would be like borrowing money from the bank to pay off the money you just borrowed.

Would a tax cut help and if so for whom or on what?

What we need to do is completely do away with our present tax code and enact a flat tax. Everybody pays the same. Poor, middle class and rich. 13% on income above $35K a year.

I think all of the problems in the economy is based on the cost of energy and the only way to fix the problem is to fix our energy problem. Don't send a check, remove all federal tax from gas pumps for three to six months and end ethanol subsidies.

I say end ethanol subsidies because outside of gas the largest inflation is in the food area directly related to the diversion of corn to make fuel.

Open federal lands to natural gas exploration to reduce the price of natural gas. If natural gas price was cut in half electricity and heating costs would follow. Likewise it would be more profitable for businesses if natural gas was equal to the price in Mexico or Canada. Plentiful natural gas would be a deflating factor equal to a pay raise for every American in my opinion.

Absolutely our energy dependency is a large part of our problems. We need to wean ourselves off that middle eastern tit. We need new oil and natural gas exploration, a new refinery or two, and massive incentives for research and development for new energy solutions. If we could tell the rag heads to fuck off and die, drink your fucking oil, we don't need it, we'd never have to deal with the sons a bitches again, unless it was to make a fucking parking lot out of the M.E..

[Hagbard Celine]

The Bush tax cuts went to people who pay taxes. When you have 50% of the wage earners paying 97% of the taxes - guess who get the tax cut?

The people who pay the taxes

Only 5% of homeowners are late with their mortage payments,a nd the government has no business trying to regulate the issue

Cut the taxs on gas and you will lower the price. Flooding the market will not do much for the long term

Well see you're arguing that the gov't shouldn't regulate by helping-out the housing industry, but you want them to do exactly that by cutting taxes to regulate the energy sector of the economy. You can't have your cake and eat it too. Have you ever thought that maybe they could do both? If you cut taxes on gas AND flooded the market with cheap oil it would be like jumpstarting the economy by putting "liquid schwartz" into the proverbial tank.

[Classact]

I think it's all about energy and the housing market. We're on the cusp of going into a recession now mainly because lenders went batsh*t crazy giving out subprime mortgages and now that interest hikes are hitting borrowers they're unable to pay, which is breaking the backs of lenders and it's sending a ripple effect through the economy that's affecting the stock markets, consumer spending, etc. When you add the fact that we're at war and the Arabs have got our nuts in a vice with their disgraceful oil prices the middle class especially is feeling the hurt. I think we need to declare a "war on energy dependence" --start drilling Alaska and the Gulf. Open up the gov't strategic oil supply and flood the market with cheap oil. I don't think another tax cut for the wealthy is the answer.

I think the people who took the sub-prime loans should suck it up on one hand and then the government was complicit just like illegal immigration... I don't think regulation is the answer but these semi govt backed Fanny's need to have their wings clipped for making crappy loans. Damn every time I bought a house there was a lawyer there that answered every question I had and I can't imagine a situation where a home buyer and a banker sit down alone ending with the borrower not knowing what is going down or what could go down under different situations.

The fact is there are billions of dollars of value lost in sub-prime homes and, more importantly everyone else's home. American savings is mostly in homes and now a lot of that savings is lost on paper until the market recovers. To compound the problem so many people have taken second mortgages and are at a minus in home value and maxed out on their credit cards. Housing is a fair sized percentage of the US economy since we don't manufacture hardly anything these days so if you have a negative savings and a maxed credit card and are a home builder, salesman or related you are in deep kimchee... and, it's like being second player on a pool game when on ball is hit more are moved around and more folks are hurt when service industry jobs cut back because less and less folks have spending money.

Maybe a freeze on foreclosures for a period would help other home owners to build some equity in their homes so an implosions doesn't occur?

Perhaps a national savings incentive would help? Perhaps the gvt could offer a higher percentage rate for federal debt that is offered to the world marker to keep money in the US. Or, workplace US savings bonds with an exceptional interest rate... $12.50 would buy a $30 bond redeemable in eight years, or $25 would make $60 and so on. The banks need money to lend and now it is out on credit cards and little in equity in homes. With a national savings our debt could be better kept at home in stead of going to Saudi Arabia or China and when the bonds were cashed it would be spent here.

[red states rule]

Well see you're arguing that the gov't shouldn't regulate by helping-out the housing industry, but you want them to do exactly that by cutting taxes to regulate the energy sector of the economy. You can't have your cake and eat it too. Have you ever thought that maybe they could do both? If you cut taxes on gas AND flooded the market with cheap oil it would be like jumpstarting the economy by putting "liquid schwartz" into the proverbial tank.

How is cutting taxes the same as telling mortgaga holders they have to freeze their rates?

What do Dems want to do to stimulate the economy?

The elements of the package, as described by the campaign:

— Establishing a $30 billion Emergency Housing Crisis Fund to assist states and cities in mitigating the effects of foreclosures: “Her $30 billion fund would provide immediate, time-limited resources to states, cities and community organizations to help prevent unnecessary foreclosures. States and communities could also use the funds to offset the costs associated with vacant properties by supporting efforts like community-level anti-blight programs and helping local housing authorities buy up vacant properties and rent them to working families.”

— Providing $25 billion in emergency energy assistance for families facing skyrocketing heating bills: “The grants will the purchasing power of energy assistance to where it was five years ago. And they will ensure that hardworking families and seniors on fixed incomes will not have to choose between heating their homes, putting food on the table or purchasing prescription drugs this winter.”

— Accelerating $5 billion in energy efficiency and alternative energy investments to jump-start green collar job growth: “The immediate actions that could be part of a 2008 stimulus could include a crash weatherization program to cut home energy costs by up to 20 percent this winter; expanded tax credits to encourage families and businesses to accelerate purchases of hybrids and other low-emission vehicles and to reduce energy costs by purchasing efficient appliances, new windows and other clean, efficient technologies; and acceleration of a Green Building Fund and green collar job training program to put tens of thousands of people to work making schools and other public buildings energy efficient.”

— Investing $10 billion in extending and broadening unemployment insurance for those who are struggling to find work: “By strengthening our unemployment insurance program and extending unemployment insurance for workers who are laid off for extended periods, this effort will empower more Americans to re-enter the labor market in good-paying jobs.”
http://www.politico.com/news/stories/0108/7842.html

In other words, nothing for the economy - but plenty of handouts to buy votes

[Kathianne]

I do not agree with releasing the oil Classact. If the government wants to help with gas prices - repeal the taxes on gas

When you add up the taxes by local, state, and the federal government - you get about 45 to 60 cents per gallon

What we need to do is to build and expand refineries, drillo for all the oil we have within our borders

Expand nuclear power, use more coal, and tel the envio wackos to shut the hell up

I agree with this. I also think the feds, states, local municipalities should reduce or end their gas taxes for 6 months or so. Make permanent the Bush tax cuts, set to expire in 2010.

[red states rule]

I agree with this. I also think the feds, states, local municipalities should reduce or end their gas taxes for 6 months or so. Make permanent the Bush tax cuts, set to expire in 2010.

The local, state, and federal governments are awash with our money - they can suspend the gas tax and give working families a break

After all. Dems CLAIM to care about working families - right?

[retiredman]

RSR... why does the economy NEED stimulation? Haven't you been bellowing for the past two years at how MARVELOUS the economy is behaving under President Bush? What gives? Why would an economy, that has been performing as wonderfully as you have been continuously claiming, need any stimulus in the first place?????

[Classact]

Why do you folks from Maine always want to draw the Repubs into the race debate? You know damned well the poor blacks that were fooled by the man to sign sub-prime mortages were the reason the US economy needs stimulation. Let me save you some time... it's all Bush's fault Fanny and Freddy didn't splain it to the folks of color.

[Kathianne]

Why do you folks from Maine always want to draw the Repubs into the race debate? You know damned well the poor blacks that were fooled by the man to sign sub-prime mortages were the reason the US economy needs stimulation. Let me save you some time... it's all Bush's fault Fanny and Freddy didn't splain it to the folks of color.

Where was he dragging blacks into the subprime mess? My guess the racial breakdown of those irresponsible enough to be in the mess crosses racial lines. Meaning, there are more white caught in the problem than blacks. Bet a few Hispanics too. Perhaps even a few Orientals?